Disallowance u/s 14A in cannot be made in respect of Audit Fees

The auditor’s remuneration and legal & professional charges incurred for maintenance of statutory books and its audit etc. were required to be incurred irrespective of whether the Company had any income or not and hence, there was absolutely no basis for considering a part of such expenditure towards earning of exempt income.

In this connection, reliance is placed on Gujarat High Court judgment in the case of Please become a Premium member. If you are already a Premium member, login here to access the full content.